Mortgage rates did go up slightly but they’re still about a percentage point below where they were a year ago.
Average rates are at 2.84% with .7% paid in fees and points for a thirty-year, fixed-rate mortgage.
Mortgage applications give us insight into the upcoming buyer demand. Simply put, when more people apply for mortgages, it means more people are out shopping for homes.
We actually saw a decrease in mortgage applications over last week. That’s to be expected since this is the time of year when the market traditionally slows. But only getting a .5 decrease in demand isn’t that substantial when you consider that we still have 16% more buyers in the market now than we did this same time last year.
I want to point out how much this number is starting to dwindle. We have consistently seen over 20% more buyers in the market for months, so perhaps the feeding frenzy for real estate is starting to soften a tiny bit.
Refinances, on the other hand, are a completely different story. Those are up 67% compared to the same time last year. This is causing a lot of issues for lenders, big and small, who just aren’t staffed to handle the demand. We’re beginning to see a lot of loans, even on new purchases, take longer than 30 days to close. As far as closing on your refinance… well that can take months. Literally months to close on that loan.
Local Market News
Now on to local real estate market news for Rockwall. For this local market data, I use numbers from single-family home sales in Rockwall County. These numbers are based on sales data from October.
The average sales price is at $417,832. That’s an 29% increase from just one year ago.
The number of homes for sale is at 264 homes. Compared to this time last year when there were 665 homes for sale, we are down 60% in inventory available to purchase. And remember, we have 16% more buyers in the market right now.
Rockwall County had 234 sales in October. We actually had the same number of sales as we did in September. That is not typical. Usually we see sales decline from September to October. We’re up 40% in the number of sales from this same time last year.
The average days on market is 43 days before going under contract, compared with 64 days from last year.
Our months of inventory is down more from last month and is now at 1.2 months. This number tells us that based on current demand, if no new listings came on the market, it would take about five weeks for all of the current inventory to be purchased. Six months of inventory is considered a balanced market. So when we’re less than six months of inventory, that’s seller’s market territory.
We listed 230 homes in October which is actually higher than what we typically see this time of year.
In percent sales price to list price, sellers only had to negotiate about 2% off the asking price of their home to get a sale which is the same as it was last year.
Our average sales price per square foot is at $148 per square foot. In October of last year, we were at $129.
I’m not sure how long I’ll be able to keep reporting this same information and tell you that it’s a great time to be a seller and it’s also a great time to be a buyer. With incredibly low interest rates you can afford a lot more of a house as a buyer than you previously would’ve been able to. And as the seller if you’re priced right and your home is presented well, then you’re likely getting multiple offers. And we’re seeing strong numbers at all purchase price levels, not just the lower end of the range.
If I’ve said it once I’ve said it a thousand times, it’s a great time to be a seller right now. If you’re in a position where you want to sell or need to sell, let’s talk.
You can contact me at 214-803-4444 or email me at firstname.lastname@example.org. Just curious to know what your home might sell for in today’s market? Click HERE to get an instant market analysis on your home delivered right to your email inbox.
If you want to buy in Rockwall, contact me to get started now so we can get you closed on a home before the end of the year.
So have a happy Thanksgiving and I’ll see you next month!
Jennifer Shannon is a Texas real estate agent and broker, licensed since 2006.